Shell Brasil Petróleo Ltd. (Shell) has let a limited notice to proceed (LNTP) to BW Offshore Co. for early-stage engineering and supplier reservations for an FPSO for Gato do Mato oil and gas field in Block S-M-518 of the Santos basin presalt, offshore Brazil.
Upon completion, Shell and its partners expect to award a lease and operating contract to a consortium of BW Offshore and Saipem SPA, which will be jointly responsible for engineering, procurement, construction, and installation (EPCI) of the FPSO with expected delivery in 2026.
The FPSO lease and operate contract will have a firm period of 18 years with 7 years of options.
The award is subject to the parties finalizing commercial and pricing terms and a final investment decision to by Shell and its partners.
The LNTP is valued up to $50 million.
Shell is operator at Gato Do Mato (50%) with partners Ecopetrol (30%) and TotalEnergies (20%).
